Pakistan to soon see locally assembled Audi and Volkswagen on the roads

Audi and Volkswagen to assemble cars in Pakistan

Pakistan’s auto industry is definitely on the international investors’ radar as German Audi and Volkswagen make its way to Pakistani market.

Audi reportedly has approached the Board of Investment through its local authorized dealer with a proposal to start an OEM (original equipment manufacturer) plant in Pakistan.

Last year the German carmaker expressed its interest in setting up an assembly plant in the country and submitted a letter of intent to the Board of Investment (BoI) for consideration through Premier Systems Private Limited.

At the same time, Volkswagen Commercial Vehicles is also in final talks with Premier Systems Private Limited to set up a manufacturing/assembly plant for its Amarok and T6 (Transporter range) models.

The company will use the same plant that Audi is going to build for the assembly of its own vehicles, as its owned by Volkswagen Group.

Amarok will directly compete with Toyota’s Revo in Pakistan and T6, a multi-seat passenger van, aims to fulfill the forecasted demand created by the China-Pakistan Economic Corridor.

Automotive Development Policy (ADP) 2016-21 has sown the seeds of development in the automobile industry as it provided benefits for companies to come and invest in Pakistan’s auto sector. As a result, many companies are coming to the Pakistani market including,  Renault, KIA, and Hyundai Motors. FIAT Chrysler is also likely to enter the Pakistan’s automobile industry.

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